Dear Sirs,
I want to know if an employee works a 12-hour shift, and their salary is 11000/- PM as per the minimum wage, but we are paying them 20000/- PM, can we show the additional 9000/- as extra work or OT amount?
From India, Chennai
I want to know if an employee works a 12-hour shift, and their salary is 11000/- PM as per the minimum wage, but we are paying them 20000/- PM, can we show the additional 9000/- as extra work or OT amount?
From India, Chennai
You cannot arbitrarily apportion a portion to be OT and have you taken permission for OT, in case you are referring to the factory. OT has to be calculated at double the rate of wages for every hour worked >9hrs per day or >48 hrs per week. A 12-hour shift is not allowed anywhere. Even if it is allowed, the OT amount would be again Rs. 11,000 as an employee works for 104 hours (26X4) and at the OT rate of double wages, it is again the same as the salary (26X8 = 208 hours). Though the figure sounds attractive, yet it falls very much short of due compliance of the calculation of OT wages.
From India, Mumbai
From India, Mumbai
Abide by minimum wages and statutory compliance for 8 hours. Calculate the rate per day and per hour for the 8-hour wages calculated, then determine the hours of overtime worked. Convert the overtime pay into a daily rate and include any applicable compliances for overtime as well.
From India, Vadodara
From India, Vadodara
The Code provides that in case an employee works on any day in excess of the number of hours constituting a normal working day, the employer is to pay him for every hour or for part of an hour so worked in excess, at the overtime rate which should not be less than twice the normal rate of wages. Eight hours working day would be mandatory under the Code of Wages. There is no change in the working hours provision as provided under the Factory Act. Any other tinkering with wages will attract adverse attention of Factory Inspector and other labor officials. Please follow the law to the maximum to avoid adverse effects.
From India, Pune
From India, Pune
Dear Sunil,
Sections 51, 54 to 56, and 59 of the Act state that under Section 59, if a worker works in a factory for more than 9 hours in any day or for more than 48 hours in any week, they shall be entitled to receive wages at twice their ordinary rate of pay for overtime work.
Thank you.
From India, New Delhi
Sections 51, 54 to 56, and 59 of the Act state that under Section 59, if a worker works in a factory for more than 9 hours in any day or for more than 48 hours in any week, they shall be entitled to receive wages at twice their ordinary rate of pay for overtime work.
Thank you.
From India, New Delhi
As per the Factory Act of 1948, overtime (OT) has to be calculated at double the rate of wages for every hour worked exceeding 9 hours per day or 48 hours per week. A 12-hour shift is not allowed anywhere.
If you require an employee to work extra hours, then you must pay them double OT and clearly mention this. It is illegal to do otherwise.
From India, Noida
If you require an employee to work extra hours, then you must pay them double OT and clearly mention this. It is illegal to do otherwise.
From India, Noida
12-hour shifts are not allowed anywhere. Special permission is mandatory for a 12-hour shift by an inspector in special conditions. Including overtime of 60 hours in a week is applicable. More than 60 hours are against the Government Factory Act. It's my personal view: don't show overtime; show incentive or special allowance and pay him.
From India, Noida
From India, Noida
Looking for something specific? - Join & Be Part Of Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.